Many industries are often plagued by overcapacity: firms simultaneously invest in capacity expansion, so that total capacity far exceeds demand. this happens not only in industries in which demand is highly volatile and unpredictable, but also in industries in which demand is fairly stable. what factors lead to overcapacity? explain. overcapacity may result

a. from firms producing a differentiated product in a monopolistically competitive market.
b. when demand grows by more than expected.
c. from new firms entering an industry, producing additional output to maximize its own profit.
d. from firms following dominant strategies to maximize payoffs.
e. from firms trying to prevent entry by making production appear unprofitable.

answer; ///i believe that the correct answer is (post conventional)

answer; ///liability;

anyone below or above ambitious can tell you. so crowns mean brainliest. getting brainliest means your answer needs a good explanation and the person asking the question can understand your answer easily. so say there's a multiple choice question. you don't just want to say your answer is a, hope it . provide evidence and reasoning so that they know that that is the correct answer. a good explanation should have evidence, good reasoning, and your opinion on why you picked that. you don't want to look up their question on the internet and see if you can answer it. pick questions that you 100% know the answer to, so than that way you can provide a better explanation.

best of luck,

the divergent